Year-end adjusting journal entries The following year-end adjustments need to be recorded for the agency: 1. An accrual of $60,000 was made for salaries earned the last week of September, to be paid in October. Budgetary funds were available for this purpose. 2. The agency's liability for unused vacation leave increased by $40,000 as a result of the year's activities. The budget makes no provision for this expense until vacation leave is actually taken. 3. The agency discovered that a purchase order for $15,000 was inadvertently issued twice for the same thing. Therefore, one of the orders was cancelled. 4. The agency recorded depreciation of $25,000 on its equipment. a) Prepare the budgetary journal entries needed to record the year-end adjustments: Enter accounts in order of magnitude (largest to smallest amounts), debits first. If no entry is necessary, select 'No debit (or credit) entry needed' in the account fields and enter 0 in the amount fields. a) Prepare the budgetary journal entries needed to record the year-end adjustments: Enter accounts in order of magnitude (largest to smallest amounts), debits first. If no entry is necessary, select 'No debit (or credit) entry needed' in the account fields and enter 0 in the amount fields. b) Prepare the proprietary journal entries needed to record the year-end adjustments: Enter accounts in order of magnitude (largest to smallest amounts), debits first. If no entry is necessary, select 'No debit (or credit) entry needed' in the account fields and enter 0 in the amount fields